DIET

[Lucas Scott]

Nice rally for DIET. The higher open was surprising but the retest of yesterday's low was what I expected. My entry today was almost perfect!

«I called the company today
by: dead_beet_dad
Long-Term Sentiment: Strong Buy    01/25/06 02:13 pm
Msg: 3451 of 3514

Well if "dead_beet_dad" says it, then it must true

[irod]

"NutriSystem's stock price has increased by 1,000% in the past year, so investors have definitely taken notice. Investors have also taken notice of eDiets.com (Nasdaq: DIET - News), which lately has been flirting with new 52-week highs."

- Motley Fool (Jan. 18)

"The hit-or-miss group of stocks that trade for less than $10 may be back from the dead. Homestore, Bema Gold, Broadwing and Asyst hold the most promise. Avoid eDiets.com, 24.7 Real Media and LivePerson for now."

- TheStreet.com Real Money (Jan. 10)

"Ciaran G. McCourt, President of eDiets.com, Inc. (NasdaqSC:DIET - News), will preside over the closing bell to celebrate the company's 10-year anniversary."

- Market Wire (Jan. 9)

"10-Jan-06: Merriman Curhan Ford Initiated Coverage: Buy"

Seems to be getting attention lately.

[irod]

Here's the transcript for the 3rd quarter's conference call: http://internetstockblog.com/article/4244

And the Q&A session: http://internetstockblog.com/article/4245

[David Randolph]

Well that didn't contribute to anything 

Amarens

That was to be expected Amarens. After a close at the low of the day it is hard for an higher open to hold. Usually the stock goes to negative territory before it rebounds (I know this from day trading experience).

May I recommend you a book so you can understand these short term phenomena?

It is «Candlestick Charting Explained», from Gregory L. Morris.

Nice rally for DIET. The higher open was surprising but the retest of yesterday's low was what I expected. My entry today was almost perfect!

«I called the company today
by: dead_beet_dad
Long-Term Sentiment: Strong Buy    01/25/06 02:13 pm
Msg: 3451 of 3514

Well if "dead_beet_dad" says it, then it must true

Lol, what a nice laugh you gave me this morning Lucas Scott 

Here's the transcript for the 3rd quarter's conference call: http://internetstockblog.com/article/4244

And the Q&A session: http://internetstockblog.com/article/4245

Thanks for these links irod  (applaud)

Some highlights:

«Bill Vlahos

Two questions. When you guys talk about testing out a meal delivery plan, can you give us a little bit more color on what that might look like? Would that be somewhat similar to, say, a NutriSystem offering?

Company Speaker

This is Ciaran here. We have a test up at the moment, which is in our sales firm if you care to go through and subscribe, you may see an option to purchase a food delivery service, or meal delivery service. Currently, our partner in this area is in the fresh side of this, rather than the side of NutriSystem, which is more shelf stable foods. So we're looking closely at that side of the market. But it is in test mode, and we hope to have more updated numbers to give you in the next quarter's call.»

«Ken Farsalas

Hi. Good morning. Just a followup on the last question about meal delivery and the test that you're doing there Do you anticipate that meal delivery is going to be a strategic focus of the business in 2006?

Company Speaker

As I said in my statement, the eCommerce is a major focus for us in '06, together with ad revenue, and also, of course, keeping our subscription levels up. And we see the food product as a core part of the eCommerce and store plans we have in '06. I look on the diet destination as our core strategy, and we think this can include and embrace not just diet brands and health brands, but also services. And I think a meal delivery service as part of that strategy is going to be key for us in '06 and going forward.»

The difference between the eDiets food delivery service and NTRI's service is that DIET's food is fresh and NTRI's food is frozen, something like that.

«Actually, as you know, the second half of the year, I should say, we typically see lower members than in the first half. And we actually under-spent a few ad dollars in the third quarter, i.e., we had actually targeted to spend a little bit more, which ultimately would have led to a little bit higher growth in the revenue in Q4. But as we talked about earlier, we are determined to make the right decisions on an economic basis. So it wasn't prudent to go out and acquire members at all costs. So actually, those numbers obviously came a little bit lower than expected on the revenue side, and obviously that helps the bottom line, at least in the short-term. Right now, we're pretty much focused on January 1, the kick-off of the new season. As you know, this is our slowest time forever to recruit them, almost a 9-week quarter with regards to new customer acquisitions.»

The first half of the year is stronger than the second half, probably that's why they launched the FreshCuisine service on January 5th.

I feel this analysis should be on the Long Term thread also, I'll put it there.

From a trading perspective, nice rally yesterday and everything is set for an attack to recent highs above $8.20. There's no doubt, from the conference call, that this would be a sound investment even if it were not for the Food Delivery Service. In this way, this can be an extremely profitable investment.

I'll continue holding DIET, both on a trading perspective as for long term purposes.

[David Randolph]

Well that didn't contribute to anything 

Amarens

That was to be expected Amarens. After a close at the low of the day it is hard for an higher open to hold. Usually the stock goes to negative territory before it rebounds (I know this from day trading experience).

May I recommend you a book so you can understand these short term phenomena?

It is «Candlestick Charting Explained», from Gregory L. Morris.

Nice rally for DIET. The higher open was surprising but the retest of yesterday's low was what I expected. My entry today was almost perfect!

«I called the company today
by: dead_beet_dad
Long-Term Sentiment: Strong Buy    01/25/06 02:13 pm
Msg: 3451 of 3514

Well if "dead_beet_dad" says it, then it must true

Lol, what a nice laugh you gave me this morning Lucas Scott 

Here's the transcript for the 3rd quarter's conference call: http://internetstockblog.com/article/4244

And the Q&A session: http://internetstockblog.com/article/4245

Thanks for these links irod  (applaud)

Some highlights:

«Bill Vlahos

Two questions. When you guys talk about testing out a meal delivery plan, can you give us a little bit more color on what that might look like? Would that be somewhat similar to, say, a NutriSystem offering?

Company Speaker

This is Ciaran here. We have a test up at the moment, which is in our sales firm if you care to go through and subscribe, you may see an option to purchase a food delivery service, or meal delivery service. Currently, our partner in this area is in the fresh side of this, rather than the side of NutriSystem, which is more shelf stable foods. So we're looking closely at that side of the market. But it is in test mode, and we hope to have more updated numbers to give you in the next quarter's call.»

«Ken Farsalas

Hi. Good morning. Just a followup on the last question about meal delivery and the test that you're doing there Do you anticipate that meal delivery is going to be a strategic focus of the business in 2006?

Company Speaker

As I said in my statement, the eCommerce is a major focus for us in '06, together with ad revenue, and also, of course, keeping our subscription levels up. And we see the food product as a core part of the eCommerce and store plans we have in '06. I look on the diet destination as our core strategy, and we think this can include and embrace not just diet brands and health brands, but also services. And I think a meal delivery service as part of that strategy is going to be key for us in '06 and going forward.»

The difference between the eDiets food delivery service and NTRI's service is that DIET's food is fresh and NTRI's food is frozen, something like that.

«Actually, as you know, the second half of the year, I should say, we typically see lower members than in the first half. And we actually under-spent a few ad dollars in the third quarter, i.e., we had actually targeted to spend a little bit more, which ultimately would have led to a little bit higher growth in the revenue in Q4. But as we talked about earlier, we are determined to make the right decisions on an economic basis. So it wasn't prudent to go out and acquire members at all costs. So actually, those numbers obviously came a little bit lower than expected on the revenue side, and obviously that helps the bottom line, at least in the short-term. Right now, we're pretty much focused on January 1, the kick-off of the new season. As you know, this is our slowest time forever to recruit them, almost a 9-week quarter with regards to new customer acquisitions.»

The first half of the year is stronger than the second half, probably that's why they launched the FreshCuisine service on January 5th.

I feel this analysis should be on the Long Term thread also, I'll put it there.

From a trading perspective, nice rally yesterday and everything is set for an attack to recent highs above $8.20. There's no doubt, from the conference call, that this would be a sound investment even if it were not for the Food Delivery Service. In this way, this can be an extremely profitable investment.

I'll continue holding DIET, both on a trading perspective as for long term purposes.

[Amarens]

Thanks David for the recommendation. It will be the next one I'll start to learn.

Amarens

[Lucas Scott]

I shorted NTRI today. Looks toppy.

I covered my NTRI short on Friday. 10% loss It gapped up as Citigroup intiated coverage with a Buy rating. They were probably saying sell when the stock was at $6 last year. Anal-ists! Maybe Citigroup will throw a little love DIET's way so I can cover that loss and then some with my long position on DIET.

[AussieTrader]

Diet chart has been somewhat tainted by a 100 share transaction that went through at $8.60 just after the open (way above bid and ask), looking at time and sales the 'real' open price was $7.84 6,100 shares.

I mention this as otherwise it looks like a huge sell off candle when in reality it was a day that had a challenge of the $8 barrier but ultimately could not hold onto it, really it should be a doji candle.

[David Randolph]

Yes Aussie, that was really a strange open. The stock needed the rest of the day to come down to close the gap.

DIET is still consolidating, but I have little doubts it will decisively break $8 on the upside. This is clearly a case where the news is ahead of the fundamental numbers. Not much people paid attention to the new service the company is offering (Fresh Cuisine), but they will certainly notice the jump in revenues and profits when the company reports 1st quarter results, I believe.

I'll continue holding, both from a trading and investment perspective.

[David Randolph]

Volume is drying down on DIET, as the stock still struggles to definitely break $8 on the upside. But, bull trends have no resistance and ultimately we'll have a powerfull white marubozu to new highs.

The only analyst covering DIET calls the 1st quarter of 2006 as a negative quarter, which I find quite strange. I believe the company will beat estimates with ease going forward. Everything is out of date on research covering DIET, since it started it's new food delivery service in January 2006 DIET is a whole different company.

The trend is still bullish, I'll continue holding DIET, both from a trading and investment perspective.

[David Randolph]

DIET is still consolidating. I don't think it made its top. We have an important short term support zone around $6.95 - $7.05.

Volume is starting to pick up a bit here. I see the stock rebounding from current levels and breaking $8 on the upside. I'll feel technically disappointed if we get a close below $6.95, but I can't say I'll sell if the happens. I would have to make a new technical analysis then.

For now, I'll just say I'll continue holding DIET.

[Michael]

Hi David,

According to my dear wife I really need a DIET so here we go - I am in 

We are probably a few who can remember a decade back when Brick and Mortar companies went online and the stock price soared. It is kind of ironic to see the opposite being the case today 

I believe in the Business Case. I believe there is much more money to be made in the "real" world for a company like DIET with a strong brand and customer base in one of the hottest industries in this decade.

Whether we are looking at 200% or 1000% increase in the share price really depends on the execution of the business plan but there should be a lot of upside on this pick.

Mike

[Lucas Scott]

In part because of DIET, the StocksOnFire portfolio looks like it's been on a diet. The portfolio is losing weight. When DIET dropped to the 6.50's earlier today, we were entering Mary-Kate Olsen territory! Then it bounced back. Hopefully it wasn't just a binge and purge with the purge to come next week   But seriously, I like the chart a lot still and may double up on my position Monday if it hits the 33 ema again (~6.80). That bogus candle from Monday sure is annoying, isn't it?

[stocky]

To be on the record, I am on both real life and trading-life DIET.

Goodluck all.

[1reilly]

Michael
when you posted today that you were in, I doubled up. Diana and I have decided to be the trial group for 3stocks on fire for Diets. We're not kidding we will communicate to this board  how we have ordered this food, how it was delivered.and what we eat each day. We will start this endevour sat AM  and will start a new thread on the Members Section. It will be titled Diana and Mike's Mission. All members will get our weekly update regarding their product.
Whether The stock goes up or down we're committed for the next 30 days. Look forward to updates I happen to think will know pretty soon if this product is worth our time.